Modeling Feedback Mechanism for E-Marketplace

Because user's feedback is help to build trust in online transaction, we develop a function about the buyer's bidding, and describe the risk under the feedback mechanism. Then, we analyze the double effects on the buyers and sellers' behavior chosen. After that, we use MATLAB to design a program of Monte-Carlo sampling method to simulate the actual online business. The experimental results show that the efficient feedback mechanism will have a positive impact on the behavior of sellers and buyers. The results will help E-marketplace to implement its feedback mechanism.